(1) The Municipality shall be a body corporate having perpetual succession and a common seal. It can sue or be sued in its corporate name, acquire, hold and transfer property, enter into contracts and do all things which are necessary, proper or expedient for which it is constituted.
(2) From the date of commencement of this Act, all the Municipalities constituted under the Telangana Municipalities Act, 1965 and the Municipal Corporations constituted under Telangana Municipal Corporations Act,1994 shall be deemed to have been constituted as Municipal Councils as specified in Schedule I and Municipal Corporations as specified in Schedule II under this Act, and the provisions of this Act shall apply to all such Municipalities constituted and deemed to have been constituted under this Act:
Provided that in cases where a Gram Panchayat is already notified as a Municipality under section 3-A of the Municipalities Act, 1965, the elected body of such Gram Panchayat shall continue to be in existence until its term expires and exercise all such powers under the provisions of the Telangana Panchayat Raj Act, 2018, and on such date of expiry, it shall be deemed to have been constituted as a Municipality under this Act.
(3) The State Legislature may, by way of amendment to this Act, modify or add or alter schedule I or II of this Act so as to,-
(a) form a new Municipality by separation of local area from any Municipality, or by uniting two or more local areas or part of areas, or by uniting any local area to a part of Municipality;
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(b) include within a Municipality any local area;
(c) exclude from a Municipality, any area comprised therein;
(d) constitute any local area as a Municipality;
(e) alter the name of any Municipality;
(f) revise the boundary of municipal area;
(g) describe the boundaries of the Municipality;
(h) abolish a Municipality.